Which one of the following statement is **incorrect** about sinking fund? Option 1: It is a fixed term account. Option 2: It is set-up for a particular upcoming expense. Option 3: In this fund a fixed amount at regular intervals is deposited. Option 4: It can be used in any emergency.

The answer is 'It can be used in any emergency.'. View full solution:

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Which one of the following statement is incorrect about sinking fund?

It is a fixed term account.

It is set-up for a particular upcoming expense.

In this fund a fixed amount at regular intervals is deposited.

It can be used in any emergency.

✅ Correct Option: 4

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Choose the correct answer from the options given below:

Which one of the following statement is **incorrect** about sinking fund?

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Which one of the following statement is incorrect about sinking fund?